What does 'board diversity' aim to enhance in decision-making?

Board diversity aims to enhance varied perspectives and experiences in decision-making. This is crucial because diverse boards typically bring a wider range of viewpoints, skills, and experiences to the table. This diversity leads to more robust discussions and a broader understanding of the issues at hand, as members can draw from different backgrounds and insights. Such varied perspectives can improve problem-solving and innovation, leading to better governance and stronger organizational performance.

Ultimately, having a mix of perspectives not only enriches strategic discussions but also helps boards make more informed and effective decisions, as they are less likely to fall into groupthink and can better understand the needs and concerns of various stakeholders.